Retailers can use AI to simplify life for their customers, from virtual try-ons to giving them ideas for dinner. With AI technology, customers can benefit from a more convenient shopping experience, with questions answered quickly and easily via chatbot, grocery lists automatically generated, and travel plans made in no time. Plus, they get to see what they’ll look like in an outfit before purchasing it.
As the demand from humans for AI-based tools increases, retailers and brands are using language-based software such as ChatGPT, developed by OpenAI, to develop more meaningful customer connections and upgrade their shopping experience.
Expedia recently unveiled a new feature allowing members to create the perfect journey with ChatGPT. Through conversations in the app, individuals can now arrange lodging, activities, and transportation tailored to their preferences.
Carrefour, a European French grocery giant, has been experimenting with ChatGPT and generative AI on its website. These AI technologies produce human-like avatars that respond to customers inquiring about obtaining healthier foods at an economical cost. Moreover, Hellmann’s and other consumer packaged goods brands also produce chatbots.
Kristen Denega says:
“Today’s AI technology is revolutionizing the relationship between brands and their consumers,”
At the 2022 holidays, Denega discerned a chance to unite AI and Hellmann’s to help Canadians economize on groceries. Those who entered their refrigerator and pantry items (which included Hellmann’s mayonnaise) into ChatGPT were given a delicious recipe that likely would not have been considered without this initiative.
Denega says:
“We collaborated with TikTok creators to show how they transformed their holiday leftovers into a delicious meal using ChatGPT and Hellmann’s mayo,”
“This allowed us to connect with everyday Canadians and inspire them to save and repurpose their leftovers during one of the most wasteful times of the year.”
She states that Hellmann is always striving to develop innovative methods of interacting with customers regarding food waste and how to perceive the worth of foods stored in their refrigerators differently.
Denega continues to say:
“ChatGPT provided us with a culturally relevant opportunity to do just that by tapping into a moment in time when everyone was experimenting with this platform,”
Analysts contend that the advances in Artificial Intelligence over the past 10 years have reached a point where AI-driven applications like ChatGPT could amplify the bond between retailers and their customers. Studies also demonstrate that shoppers are increasingly embracing this technology.
In a 2023 survey conducted by Redpoint Global, 48% of U.S. respondents expressed their desire for an improved customer experience with brands through AI that would make the process more effortless, uniform, and convenient.
To “spice up” the holiday season, Hellmann’s teamed up with TikTok creators to demonstrate how they could transform their leftovers into a tasty treat using ChatGPT.
Krish Banerjee is the Canadian managing director and partner for Accenture’s data, analytics, and applied intelligence division.
Krish Banerjee says:
“Generative AI is giving us opportunities for interaction from a virtual perspective that brings in much more of an emotional connection with customers,”
He recommends that retailers shift their attention from just transactions to better comprehending customers’ actions to tailor their marketing strategies and make helpful suggestions.
Krish Banerjee continues to say:
“Understanding the language of their interactions and understanding their expectations is all part of what generative AI is providing us with which wasn’t here before,”
Banerjee states that retailers are testing out virtual try-on to help customers visualize how a product would look on them before they purchase. In addition, AI will be utilized for collaborative product design, where retailers and customers collaborate on creating the perfect item from idea to completion.
Banerjee stresses that one of the most important steps in advancing and refining AI technology is offering customers more power over the data they let retailers access. This will permit a tailored utilization of their details.
Krish Banerjee adds to say:
“Now it’s based on what websites I’m browsing and cookies that go away in a couple of years and the information I’ve provided in social media,”
Accenture’s Technology Vision 2023 report has highlighted that data transparency is set to become a company’s most valuable asset as we embark on a new era of business. According to the report, 87 percent of Canadian executives agree that providing transparency regarding data will be an essential factor in achieving success for their companies.
Stewart Samuel, director of retail futures at IGD, a research organization focused on the grocery sector, states that it will be difficult for retailers to unite all the customer data they have gathered from multiple sources.
Stewart Samuel says:
“It’s not just a matter of turning on ChatGPT and expecting good results,”
“There’s a lot of work to be done ahead of that, including figuring out how to protect customer data and [adhere] to regulatory frameworks.”
Samuel thinks that retailers can benefit greatly from taking on AI technologies early on, as they have the potential to make shopping more enjoyable. Moreover, these tools can be continually refined and updated after implementation.
Stewart Samuel continues to say:
“AI is an area where you can create an advantage early on and then continue to grow that advantage,”
“The sooner you get into it, the sooner you can make incremental improvements to your business, and these tools can learn and adapt from that.”
AI can potentially transform the shopping experience for customers and retailers alike. By leveraging the power of data and automation, retailers can create more personalized, efficient, and profitable shopping experiences that meet the evolving needs of today’s consumers.
Source: The Globe and Mail
